Nova Royalty Corp. (TSX-V: NOVR) (OTCQB: NOVRF) is pleased to announce that it has entered into an agreement with an arm’s length private party pursuant to which Nova will acquire an additional 0.03% net smelter return royalty on the Copper World Complex project located in Arizona, USA, owned by Hudbay Minerals Inc. (TSX: HBM) (NYSE: HBM). Upon completion of the Transaction, Nova’s consolidated royalty position will be a 0.315% NSR and Nova will retain a right of first refusal in respect of an additional 0.360% NSR.
The Additional Royalty has the same characteristics as the 0.285% NSR royalty on Copper World already owned by Nova and covers all metals, including copper, molybdenum, silver, and gold extracted from the majority of mining claims covering Copper World. The aggregate purchase price for the Transaction is $1,400,000 and will be paid as follows:
The number of Consideration Shares to be issued in connection with the Transaction will be based on the 20-day volume weighted average trading price on the TSX Venture Exchange of Nova’s common shares up until and including the effective date of the Agreement. Nova anticipates paying for the initial cash portion of the purchase price from existing cash on hand. The Transaction is subject to the acceptance of the TSXV.
About Copper World (1,2)
The Copper World Complex is a large-scale, premier copper development project located in Arizona, one of the United States’ most strategic copper districts. Copper World is owned by Hudbay, an established operator with a proven track record of success. Hudbay’s 2022 preliminary economic assessment of Copper World contemplates a two-phased operation, with a Phase I standalone operation on private land and patented mining claims expected to span 16-years with average annual copper production of approximately 86,000 tonnes, followed by an expanded Phase II mine life of 44 years on federal lands. Copper World is expected to be one of the next major copper operations in the United States, delivering the copper needed to meet domestic electrification and decarbonization supply chain needs. Hudbay expects to make a potential project sanction decision in 2024, with a three-year build timeline.
For further details about the Copper World project and the NSR royalty, please refer to Nova’s news release disseminated on May 23, 2023.
Nova Royalty Corp. is a copper and nickel-focused royalty company. Nova has assembled a portfolio of royalties on a significant proportion of the next generation of major copper projects located in 1st-tier jurisdictions, providing investors exposure to some of the most critical resource assets for the clean energy transition. These projects are being advanced by the world’s premier mining companies, which include First Quantum, Lundin Mining, Hudbay, Anglo American and Glencore, among others.
Revival Gold Inc. (TSX-V: RVG) (OTCQX: RVLGF) is pleased to annou... READ MORE
Giyani Metals Corp. (TSX-V:EMM) (GR:A2DUU8) developer of the K.Hill batt... READ MORE
Highlights 2023 JR Zone Drill Program Richards Breccia R23... READ MORE
FIREWEED METALS CORP. (TSX-V: FWZ) (OTCQB: FWEDF) (FSE: M0G) is p... READ MORE
NevGold Corp. (TSX-V:NAU) (OTCQX:NAUFF) (Frankfurt:5E50) is pleas... READ MORE